Georgian PM presents co-investment fund

A new co-investment fund has been presented today. Its establishment was announced by Georgian Prime Minister Bidzina Ivanishvili.

The prime minister himself has invested $1 billion into the fund. The remaining five billion will be invested by Arab company 'Rakia Investment', the State Oil Fund of Azerbaijan, Turkish 'Ahmad Chalik Investment', the 'Dhabi Group' and the Chinese Sovereign Fund. Kazakh businessman Alexei Machkevich and the Patarkatsishvili's family are also involved in the fund.

Giorgi Bachiashvili will head the fund.

Ivanishvili said at the presentation that the fund will ensure the development of the country as well as providing funding for large and medium projects. He stressed that all businessmen can submit their proposals on business projects which will be considered by the fund's management.

According to Ivanishvili, the amount received by the fund will improve the social and economic situation of the country. The fund will accept projects designed for seven to nine years.

The prime minister expressed the hope that investments worth $10 billion will be transferred into the Georgian economy for the next four years with the help of the co-investment fund.
Ivanishvili said the construction of the port at Anaklia is being considered.

"Around 110 million tons of cargo will be handled there," he said. "The port will work round the clock. We intend to support the projects to increase oil transit by rail. This has been recently reduced and we need to double it."

According to prime minister, the sovereign fund to be established on the basis of the Partnership Fund and finance major projects from the budget, will work in parallel. JP Morgan investment group will be a partner of the sovereign fund. Bidzina Ivanishvili is one of the shareholders.